Answer the Following Questions Using the Information Below:
the Following

question 9

Multiple Choice

Answer the following questions using the information below:
The following information applies to Krynton Corp. which supplies microscopes to laboratories throughout the country. Krynton purchases the microscopes from a manufacturer which has a reputation for very high quality in its manufacturing operation.
$\begin{array}{lr}\text { Annual demand (weekly demand }=1 / 52 \text { of annual demand) } & 13,000 \text { units } \\\text { Orders per year as per EOQ model } & 13 \\\text { Lead time in days } & 15 \text { days } \\\text { Annual relevant carrying costs } & \$ 2,600\end{array}$
-If Premium Company has a safety stock of 480 units and the average daily demand is 60 units,how many days can be covered if the shipment from the supplier is delayed by 4 days?

• A) 8 days
• B) 4 days
• C) 12 days
• D) 7 days

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Definitions:

Mutually Exclusive Events

Two or more events that cannot occur at the same time in any given experiment or real-life situation.

Conditional Probability

The probability of one event occurring with some relationship to one or more other events.

Conditional Probability

The probability of an event occurring given that another event has already occurred.

Conditional Probability

The probability of an event occurring given the occurrence of another event, often represented as P(A|B).